 Okay, we're back live here at Sapphire now. Exciting afternoon. We just had the live press conference broadcasting on siliconangle.com. This is the events that extract the signal from the noise. I'm John Furrier, the founder of Silicon Angle, and we are here with Wikibon analyst David Floyer and Jeff Kelly. We're going to break down the press conference guys. We get to co-CEO's and put them on their innovation strategy. And like every year, like clockwork to get up there in the end, they field the press questions of the global press corps. They're going to questions to Germany here in Orlando from a global press corps, so a variety of diverse questions. But obviously, this is a chance for the CEOs to kind of answer direct questions. Feast of fire, so to speak, and try to dance their way through their positioning. And you know, just some highlights is, you know, big data is not really on their key messaging, but it's a big part of their strategy. And it's all about HANA. One platform all problems solved. SAP is a first strategy like ERP back in the day. Competitors don't like that HANA exists. It was a quote I heard from Schnabe offstage. And he said, quote, this is Jim Schnabe. We have two years lead over the competitors. They think it's so great. They are betting the farm on it. And it's what's called the petabyte farm, as we found out was the code name of HANA. They're betting the petabyte farm on HANA. David Floyer, I know that you're kind of talking about lead balloons and some good things. Quick take on the press conference from you. Well, the particular thing that I thought was stretching it more than a little bit was to say that HANA was the only tool that you would need, essentially, that you should have HANA first. And that would lead the big data revolution. Clearly, HANA is a good product, but it has very significant limitations. It has a very small total storage capability, total cube, if you like, data cube. Before it really gets very, very expensive compared with other solutions. So it's good, it's fast, but it's not scalable. And they will need to have different architectures in that area. Well, they said, quote, SAP could run 90% of their customers in memory. Yeah, but there are their current applications. So what what big data is looking at and what big streams are looking at in the future is huge amounts of data coming in from Internet of Things, coming in increases in data from today's environments. Those will, there is no way that you will be able to put that sort of data into DRAM as opposed to other ways of doing it. And there's no way that their architecture, which goes from DRAM directly to disk will sustain that level of scalability. So HANA may well evolve, and they will have to do a lot of work. But the the the idea that that is going to be the basis of all an organization's real time, analytical interpretation is to me, just just missing the boat by a mile, a fundamental misunderstanding. I agree with David, and I think what's interesting, so that quote or that comment they made about HANA can now handle 90% of our clients workload. Well, we're just in the early days of big data. We're still at the early adopter phase, maybe starting to make the leap to the early majority. But you know, and I mean this with all due respect, but SAP customers are not exactly the leading edge when it comes to big data. So when their clients start to actually ingest and start to want to make use of all this data that David's talking about, then let's ask SAP that question. Can you still handle 90% of their data? Well, you're referring you're referring to the existing SAP and David's talking about the apps. And so a couple of things that came out of the press, because I want to ask you, Jeff, is that he talked about the word hand me down customers and you know, Bill McDermott's out there, you know, he's a competitor. We're winning business on the table, not as hand me down deals. Well, let's talk about what's going on in the analytics market. Obviously SAP has been on the analytics message for multiple years since we've been here, and it's been right on. It's been great speed of business. So it's evolved and it's really a value proposition that they can hang it hangs together. It's awesome. Nope. No questions asked there. Check the box. However, with big data going mainstream, I can imagine that Hannah is getting the tires kick for people who don't even have SAP. So that's why I asked that question. I want to ask you this question. Do they have a shot? Jeff and then David, you can comment from the infrastructure standpoint to run the table if they have quote two years lead over the competitors and blazing speed in memory database. Do they just go green field on the analytics market and just say, forget the ERP type apps? Jeff, what's your take on that? I think it's going to be a tough sell, I think for a lot of new business to invest in Hannah. If they're not already an SAP shop, you know, they it's interesting to the comment that they have a two year head start. I'm not sure a head start over what exactly I mean, there are a slew of MPP databases out there that do a lot of the analytic type workloads that Hannah is aimed at. You know, there are a number of databases in the SQL space that focus on that use flash and memory to focus on more of those streaming data that David mentioned earlier. So I'm not exactly sure what what they mean by by a two year head start. I'm not sure who they're David, obviously, if you can abstract away the complexities of the infrastructure, the software led infrastructure that we're following, and you focus on the applications, you can sneak Hannah above that and not make it a database technology would make it kind of a ingestion layer. Yes, I mean, there's it's plausible. Oh, I think that SAP's sales motion is excellent, because they talk about business value. They they that's code words where we don't want to talk speeds and feeds. Exactly. And that is good news. And from from a lot of the introductory technologies from the technologist, talk far too much about the technology itself and not enough about the value. So they do have a good straightforward business value, and they have access to the the leading executives in an organization. So from that point of view, they do have an advantage. But that advantage is not not a sustainable advantage in my view, for building a analytics platform. At one stage or another, you have to go to the analysts themselves, the the business analysts, and they will not be happy with the limitations, in my view, of the SAP. So yes, and just to add on to what Jeff was saying, there are a lot of good companies like Aero's bike, for example, who have great technology for the streaming data, massive, massive amounts of data coming in on in a in a as a level of ingestion that SAP just never comes across. So it's it's horses for courses. Big data is a big tent. And Hannah can address a small percentage of that big tent. So you know, where we at SiliconANGLE and Wikibon, we go to wherever the actions were asked to bring the cube. This is our flagship program. We go extract a scene from the noise we're here doing that, but we'll go wherever the stories are. So I say, I asked a question during the press conference. I asked about big data and new business. They kind of gave me the on stage answer in front of the entire world. So I kind of went chase snobby directly. And I asked him about the lead, he said two years. And I talked about competitions, his competitions don't like that, that Hannah exists, great bravado, good rhetoric. But then I asked him for specifics on new business, he said, quote, a third of the business is non SAP. They're using on us, not even no SAP apps, not even SAP customers. A third are SAP apps. Okay. And the third is non SAP apps, but SAP customers. I'm sorry, third SAP customers, third non SAP completely. A third is SAP customers, and apps, and a third is non SAP customers that have apps, but SAP customers meaning ERP. So so you're seeing kind of the breakdown there seems legitimate. I mean, given the demand of big data from across the board, someone wants to ring the doorbell, knock on the door, Hannah's enticing the messaging has been capturing with attention. Yeah, it's for for current businesses. It's a good tool. And data memory is very fast indeed. And it's a good way of doing it. Excellent. It's the longevity of that particular architecture that I have a have a problem with. But yeah, you have Jeff, what's your take on that? Obviously, big data. This is big data. They're still hiding from big data. SAP, you know, just put the stake in the ground and say, we are a big data company, mobile, social cloud. It's big data. It's all big data. Yeah, so you know, just so just for the record, so I think it is a good product. I think it's going to be very helpful for existing SAP customers who are looking to improve the performance of existing implementations and are looking to do more predictive analytics to really drive their business. I think it, you know, there will be some appeal to developers. I know SAP is putting a lot of effort into developing into the developer community, to find get new businesses to start building on top of Hannah, you know, and to the extent that they make it a from an economically viable option and make the cloud based option attractive to developers, you know, they may have some leverage there to snobby's comment that about third of the business so far has been in the business has been in new companies. That said, as David said, the as their customers start to expand their, their, I guess you call it big data footprint. There's no question that you're going to need more tools and technologies to support a large comprehensive big data platform. Hannah alone is not going to suffice if you want to build a truly big comprehensive big data platform that is bringing in data from multiple sources as a P and non SAP inside your data center and outside structured data, multi structured unstructured. This requires, you know, multiple technologies and you know, we see this even in not in the big data world. There are very few heterogeneous IT shops these days. I mean, everyone's got a kind of a mixture of technologies and they've got to work together. So my advice for SAP is to continue, you know, continue with the messaging very good. As you said, they've got the business relationships and they are very good with telling the business story in the business value. And I think that's right on. We need more of that in the big data space. But what they've got to do is continue to develop the platform and create those connections where they can't develop the capabilities themselves with Hannah, develop connections, be taken open approach that you can bring in things like to do if you can bring in things like our spike and make use of a of these different technologies and weave them together into a comprehensive platform. Because Hannah alone in the long run, I don't think it's going to suffice. Okay, this is Silicon Angle and Wikibon breaking down the press conference. Go to wikibon.org slash big data CL Jeff's research. Go to wikibon.org slash SLI to look at David Floyd's amazing work on software led infrastructure. David Floyd will be presenting later in the day on one hour on the virtualization of SAP. We'll discuss for an hour. You're not going to present for an hour. We're going to report the findings from your work there. Of course, go to siliconangle.com. We get explosive coverage from Sapphire service now Google IO starts today. We got it all there as a reference point for tech innovation. We'll be right back after the short break with more on the ground coverage from SAP Sapphire in Orlando.